If the Machines Liked Tech on Thursday, Mustn’t They Love It Now?

Backing out all of the information we think we know like persistently over bullish sentiment, over valuation by many metrics, including the Citi Economic Surprise index and Yardeni’s home cooked fundamental stew, margin debt rising to new highs and big picture overbought status… taking all of that out of the equation on the stock market in general, QQQ in particular is at what someone who’s just got to have tech would consider a buying opportunity. A lower low to May would be the proverbial turd in the punch bowl. But for now, it’s a higher low.

Indeed, I actually took a try, buying back Mr. Softie on the hard down toward support after selling last Thursday. But we still have the June seasonal to contend with along with the Gold/Silver ratio. One thing the bulls have going is that Junk bonds are positive and have not broken down vs. higher quality bonds.

Anyway, here is QQQ at a higher low. But man, that is some serious volume trying to get out of this momo play as it begins a seasonal pattern of its own; that would be the Hamptons seasonal.

Subscribe to NFTRH Premium for your 40-55 page weekly report, interim updates and NFTRH+ chart and trade ideas or the free eLetter for an introduction to our work. Or simply keep up to date with plenty of public content at NFTRH.com and Biiwii.com. Also, you can follow via Twitter @BiiwiiNFTRH, StockTwits, RSS or sign up to receive posts directly by email (right sidebar).

Related

Post navigation

“Best of breed” NFTRH Premium; Details…

“Gary, Before NFTRH I used to feel a bit like Agent Starling in Buffalo Bill’s basement after the lights went out. Thanks for turning on the lights.” –John M 11.24.14

NFTRH Monthly: $33.50

NFTRH Yearly: $345 (a 14% discount)

TRUMPETING: "I don't often track gold & silver any longer but I do remember that at the end of October 2008 you and Bob Hoye were the only two advisors who were bullish. That was ideal, a couple of voices crying in the wilderness. I don't know why you don't trumpet that more." --MM 11.10.14